Annual Report v1 | Page 28

Notes to the Financial Statements For the Eight Months Ended 31 March 2014 (d) Stock on hand Stocks on hand have been valued at the lower of cost or net realisable value. (e) Property Freehold land and buildings are carried at cost less accumulated depreciation for buildings. (f) Plant and equipment Plant and equipment are measured on the cost basis and therefore carried at cost less accumulated depreciation and any accumulated impairment. In the event the carrying amount of plant and equipment is greater than the estimated recoverable amount, the carrying amount is written down immediately to the estimated recoverable amount and impairment losses are recognised either in profit or loss. The depreciable amount of all assets, excluding freehold land is depreciated on a straight line basis over their useful lives. (g) Comparative Figures Comparative figures have been adjusted to conform to changes in presentation for the current financial year where required by accounting standards or as a result of a change in accounting policy. During the financial reporting period, the company amended its reporting balance date to 31 March 2014. As such, whilst the current reporting period is for eight months, all comparatives reflect the full years financial result for the twelve months ended 31 July 2013. The eight month comparative from 1 July 2012 to 31 March 2013 shown in the “Statement of Comprehensive Income” has not been subject to audit. All notes to the accounts reflect a 12 months comparative. (h) Cash and cash equivalents Cash and cash equivalents include cash on hand, deposits held at-call with banks and other short-term highly liquid investments with maturity of less than three months. (i) Impairment of assets At the end of each reporting period, the entity reviews the carrying values of its tangible and intangible assets to determine whether there is any indication that those assets have been impaired. If